[Script Info]
Title: 
[Events]
Format: Layer, Start, End, Style, Name, MarginL, MarginR, MarginV, Effect, Text
Dialogue: 0,0:00:00.00,0:00:03.00,Default,,0000,0000,0000,,So if I was to ask you
Dialogue: 0,0:00:03.00,0:00:04.00,Default,,0000,0000,0000,,what the connection between
Dialogue: 0,0:00:04.00,0:00:07.00,Default,,0000,0000,0000,,a bottle of Tide detergent and sweat was,
Dialogue: 0,0:00:07.00,0:00:09.00,Default,,0000,0000,0000,,you'd probably think that's the easiest question
Dialogue: 0,0:00:09.00,0:00:12.00,Default,,0000,0000,0000,,that you're going to be asked in Edinburgh all week.
Dialogue: 0,0:00:12.00,0:00:14.00,Default,,0000,0000,0000,,But if I was to say that they're both examples
Dialogue: 0,0:00:14.00,0:00:18.00,Default,,0000,0000,0000,,of alternative or new forms of currency
Dialogue: 0,0:00:18.00,0:00:21.00,Default,,0000,0000,0000,,in a hyperconnected, data-driven global economy,
Dialogue: 0,0:00:21.00,0:00:25.00,Default,,0000,0000,0000,,you'd probably think I was a little bit bonkers.
Dialogue: 0,0:00:25.00,0:00:27.00,Default,,0000,0000,0000,,But trust me, I work in advertising.
Dialogue: 0,0:00:27.00,0:00:29.00,Default,,0000,0000,0000,,(Laughter)
Dialogue: 0,0:00:29.00,0:00:31.00,Default,,0000,0000,0000,,And I am going to tell you the answer,
Dialogue: 0,0:00:31.00,0:00:34.00,Default,,0000,0000,0000,,but obviously after this short break.
Dialogue: 0,0:00:34.00,0:00:36.00,Default,,0000,0000,0000,,So a more challenging question is one
Dialogue: 0,0:00:36.00,0:00:38.00,Default,,0000,0000,0000,,that I was asked, actually, by one of our writers
Dialogue: 0,0:00:38.00,0:00:40.00,Default,,0000,0000,0000,,a couple of weeks ago, and I didn't know the answer:
Dialogue: 0,0:00:40.00,0:00:42.00,Default,,0000,0000,0000,,What's the world's best performing currency?
Dialogue: 0,0:00:42.00,0:00:44.00,Default,,0000,0000,0000,,It's actually Bitcoin.
Dialogue: 0,0:00:44.00,0:00:46.00,Default,,0000,0000,0000,,Now, for those of you who are may not be familiar,
Dialogue: 0,0:00:46.00,0:00:50.00,Default,,0000,0000,0000,,Bitcoin is a crypto-currency, a virtual currency, synthetic currency.
Dialogue: 0,0:00:50.00,0:00:54.00,Default,,0000,0000,0000,,It was founded in 2008 by this anonymous programmer
Dialogue: 0,0:00:54.00,0:00:57.00,Default,,0000,0000,0000,,using a pseudonym Satoshi Nakamoto.
Dialogue: 0,0:00:57.00,0:00:59.00,Default,,0000,0000,0000,,No one knows who or what he is.
Dialogue: 0,0:00:59.00,0:01:01.00,Default,,0000,0000,0000,,He's almost like the Banksy of the Internet.
Dialogue: 0,0:01:01.00,0:01:05.00,Default,,0000,0000,0000,,And I'm probably not going to do it proper service here,
Dialogue: 0,0:01:05.00,0:01:06.00,Default,,0000,0000,0000,,but my interpretation of how it works is that
Dialogue: 0,0:01:06.00,0:01:09.00,Default,,0000,0000,0000,,Bitcoins are released through this process of mining.
Dialogue: 0,0:01:09.00,0:01:12.00,Default,,0000,0000,0000,,So there's a network of computers that are challenged
Dialogue: 0,0:01:12.00,0:01:14.00,Default,,0000,0000,0000,,to solve a very complex mathematical problem
Dialogue: 0,0:01:14.00,0:01:17.00,Default,,0000,0000,0000,,and the person that manages to solve it first gets the Bitcoins.
Dialogue: 0,0:01:17.00,0:01:18.00,Default,,0000,0000,0000,,And the Bitcoins are released,
Dialogue: 0,0:01:18.00,0:01:21.00,Default,,0000,0000,0000,,they're put into a public ledger called the Blockchain,
Dialogue: 0,0:01:21.00,0:01:24.00,Default,,0000,0000,0000,,and then they float, so they become a currency,
Dialogue: 0,0:01:24.00,0:01:27.00,Default,,0000,0000,0000,,and completely decentralized, that's the sort of
Dialogue: 0,0:01:27.00,0:01:29.00,Default,,0000,0000,0000,,scary thing about this, which is why it's so popular.
Dialogue: 0,0:01:29.00,0:01:32.00,Default,,0000,0000,0000,,So it's not run by the authorities or the state.
Dialogue: 0,0:01:32.00,0:01:34.00,Default,,0000,0000,0000,,It's actually managed by the network.
Dialogue: 0,0:01:34.00,0:01:36.00,Default,,0000,0000,0000,,And the reason that it's proved very successful
Dialogue: 0,0:01:36.00,0:01:40.00,Default,,0000,0000,0000,,is it's private, it's anonymous, it's fast, and it's cheap.
Dialogue: 0,0:01:40.00,0:01:43.00,Default,,0000,0000,0000,,And you do get to the point where there's some wild fluctuations with Bitcoin.
Dialogue: 0,0:01:43.00,0:01:46.00,Default,,0000,0000,0000,,So in one level it went from something like 13 dollars
Dialogue: 0,0:01:46.00,0:01:49.00,Default,,0000,0000,0000,,to 266, literally in the space of four months,
Dialogue: 0,0:01:49.00,0:01:51.00,Default,,0000,0000,0000,,and then crashed and lost half of its value in six hours.
Dialogue: 0,0:01:51.00,0:01:53.00,Default,,0000,0000,0000,,And it's currently around that kind of
Dialogue: 0,0:01:53.00,0:01:56.00,Default,,0000,0000,0000,,110 dollar mark in value.
Dialogue: 0,0:01:56.00,0:01:59.00,Default,,0000,0000,0000,,But what it does show is that it's sort of gaining ground,
Dialogue: 0,0:01:59.00,0:02:00.00,Default,,0000,0000,0000,,it's gaining respectability.
Dialogue: 0,0:02:00.00,0:02:02.00,Default,,0000,0000,0000,,You get services, like Reddit and Wordpress
Dialogue: 0,0:02:02.00,0:02:05.00,Default,,0000,0000,0000,,are actually accepting Bitcoin as a payment currency now.
Dialogue: 0,0:02:05.00,0:02:07.00,Default,,0000,0000,0000,,And that's sort of showing you that people
Dialogue: 0,0:02:07.00,0:02:10.00,Default,,0000,0000,0000,,are actually placing trust in technology,
Dialogue: 0,0:02:10.00,0:02:12.00,Default,,0000,0000,0000,,and it's sort of started to trump and disrupt
Dialogue: 0,0:02:12.00,0:02:14.00,Default,,0000,0000,0000,,and interrogate traditional institutions
Dialogue: 0,0:02:14.00,0:02:17.00,Default,,0000,0000,0000,,and how we think about currencies and money.
Dialogue: 0,0:02:17.00,0:02:19.00,Default,,0000,0000,0000,,And that's not surprising, if you think about
Dialogue: 0,0:02:19.00,0:02:20.00,Default,,0000,0000,0000,,the basket case that is the E.U.
Dialogue: 0,0:02:20.00,0:02:23.00,Default,,0000,0000,0000,,I think there was a Gallup survey out recently
Dialogue: 0,0:02:23.00,0:02:25.00,Default,,0000,0000,0000,,that said something like, in America,
Dialogue: 0,0:02:25.00,0:02:28.00,Default,,0000,0000,0000,,trust in banks is at an all-time low, it's something like 21 percent.
Dialogue: 0,0:02:28.00,0:02:30.00,Default,,0000,0000,0000,,And you can see here some photographs from London
Dialogue: 0,0:02:30.00,0:02:32.00,Default,,0000,0000,0000,,where Barclays sponsored the city bike scheme,
Dialogue: 0,0:02:32.00,0:02:34.00,Default,,0000,0000,0000,,and some activists have done some nice piece
Dialogue: 0,0:02:34.00,0:02:37.00,Default,,0000,0000,0000,,of guerrilla marketing here and doctored the slogans.
Dialogue: 0,0:02:37.00,0:02:40.00,Default,,0000,0000,0000,,"Sub-prime pedaling." "Barclays takes you for a ride."
Dialogue: 0,0:02:40.00,0:02:44.00,Default,,0000,0000,0000,,These are the more polite ones I could share with you today.
Dialogue: 0,0:02:44.00,0:02:46.00,Default,,0000,0000,0000,,But you get the gist, so you people have really started
Dialogue: 0,0:02:46.00,0:02:49.00,Default,,0000,0000,0000,,to sort of lose faith in institutions.
Dialogue: 0,0:02:49.00,0:02:51.00,Default,,0000,0000,0000,,There's a P.R. company called Edelman
Dialogue: 0,0:02:51.00,0:02:53.00,Default,,0000,0000,0000,,that do this very kind of interesting survey every year
Dialogue: 0,0:02:53.00,0:02:57.00,Default,,0000,0000,0000,,precisely around trust and what people are thinking.
Dialogue: 0,0:02:57.00,0:02:59.00,Default,,0000,0000,0000,,And this is a global survey, so these numbers are global.
Dialogue: 0,0:02:59.00,0:03:01.00,Default,,0000,0000,0000,,And what's interesting is that you can see that
Dialogue: 0,0:03:01.00,0:03:04.00,Default,,0000,0000,0000,,sort of hierarchy is kind of having a bit of a wobble,
Dialogue: 0,0:03:04.00,0:03:06.00,Default,,0000,0000,0000,,and it's all about heterarchical now,
Dialogue: 0,0:03:06.00,0:03:09.00,Default,,0000,0000,0000,,so people trust people like themselves more
Dialogue: 0,0:03:09.00,0:03:12.00,Default,,0000,0000,0000,,than they trust corporations and governments.
Dialogue: 0,0:03:12.00,0:03:14.00,Default,,0000,0000,0000,,And if you look at these figures for the more developed markets
Dialogue: 0,0:03:14.00,0:03:17.00,Default,,0000,0000,0000,,like U.K., Germany, and so on, they're actually much lower.
Dialogue: 0,0:03:17.00,0:03:18.00,Default,,0000,0000,0000,,And I find that sort of scary.
Dialogue: 0,0:03:18.00,0:03:19.00,Default,,0000,0000,0000,,People are actually trusting businesspeople
Dialogue: 0,0:03:19.00,0:03:23.00,Default,,0000,0000,0000,,more than they're trusting governments and leaders.
Dialogue: 0,0:03:23.00,0:03:26.00,Default,,0000,0000,0000,,So what's starting to happen, if you think about money,
Dialogue: 0,0:03:26.00,0:03:28.00,Default,,0000,0000,0000,,if you sort of boil money down to an essence,
Dialogue: 0,0:03:28.00,0:03:33.00,Default,,0000,0000,0000,,it is literally just an expression of value, an agreed value.
Dialogue: 0,0:03:33.00,0:03:34.00,Default,,0000,0000,0000,,So what's happening now, in the digital age,
Dialogue: 0,0:03:34.00,0:03:37.00,Default,,0000,0000,0000,,is that we can quantify value in lots of different ways
Dialogue: 0,0:03:37.00,0:03:39.00,Default,,0000,0000,0000,,and do it more easily,
Dialogue: 0,0:03:39.00,0:03:42.00,Default,,0000,0000,0000,,and sometimes the way that we quantify those values,
Dialogue: 0,0:03:42.00,0:03:44.00,Default,,0000,0000,0000,,it makes it much easier
Dialogue: 0,0:03:44.00,0:03:48.00,Default,,0000,0000,0000,,to create new forms and valid forms of currency.
Dialogue: 0,0:03:48.00,0:03:51.00,Default,,0000,0000,0000,,In that context, you can see that networks like Bitcoin
Dialogue: 0,0:03:51.00,0:03:55.00,Default,,0000,0000,0000,,suddenly start to make a bit more sense.
Dialogue: 0,0:03:55.00,0:03:58.00,Default,,0000,0000,0000,,So if you think we're starting to question
Dialogue: 0,0:03:58.00,0:04:00.00,Default,,0000,0000,0000,,and disrupt and interrogate what money means,
Dialogue: 0,0:04:00.00,0:04:03.00,Default,,0000,0000,0000,,what our relationship with it is, what defines money,
Dialogue: 0,0:04:03.00,0:04:07.00,Default,,0000,0000,0000,,then the ultimate extension of that is,
Dialogue: 0,0:04:07.00,0:04:09.00,Default,,0000,0000,0000,,is there a reason for the government to be in charge
Dialogue: 0,0:04:09.00,0:04:11.00,Default,,0000,0000,0000,,of money anymore?
Dialogue: 0,0:04:11.00,0:04:13.00,Default,,0000,0000,0000,,So obviously I'm looking at this through a marketing prism,
Dialogue: 0,0:04:13.00,0:04:15.00,Default,,0000,0000,0000,,so from a brand perspective,
Dialogue: 0,0:04:15.00,0:04:19.00,Default,,0000,0000,0000,,brands literally stand or fall on their reputations.
Dialogue: 0,0:04:19.00,0:04:21.00,Default,,0000,0000,0000,,And you think about reputation has now become a currency.
Dialogue: 0,0:04:21.00,0:04:23.00,Default,,0000,0000,0000,,You know, reputations are built on trust,
Dialogue: 0,0:04:23.00,0:04:26.00,Default,,0000,0000,0000,,consistency, transparency.
Dialogue: 0,0:04:26.00,0:04:29.00,Default,,0000,0000,0000,,So if you've actually decided that you trust a brand,
Dialogue: 0,0:04:29.00,0:04:31.00,Default,,0000,0000,0000,,you want a relationship, you want to engage with the brand,
Dialogue: 0,0:04:31.00,0:04:34.00,Default,,0000,0000,0000,,you're already kind of participating in lots of new forms
Dialogue: 0,0:04:34.00,0:04:36.00,Default,,0000,0000,0000,,of currency.
Dialogue: 0,0:04:36.00,0:04:38.00,Default,,0000,0000,0000,,So you think about loyalty.
Dialogue: 0,0:04:38.00,0:04:40.00,Default,,0000,0000,0000,,Loyalty essentially is a micro-economy.
Dialogue: 0,0:04:40.00,0:04:43.00,Default,,0000,0000,0000,,You think about rewards schemes, air miles.
Dialogue: 0,0:04:43.00,0:04:45.00,Default,,0000,0000,0000,,The Economist said a few years ago that
Dialogue: 0,0:04:45.00,0:04:49.00,Default,,0000,0000,0000,,there are actually more unredeemed air miles in the world
Dialogue: 0,0:04:49.00,0:04:52.00,Default,,0000,0000,0000,,than there are dollar bills in circulation.
Dialogue: 0,0:04:52.00,0:04:55.00,Default,,0000,0000,0000,,You know, when you are standing in line in Starbucks,
Dialogue: 0,0:04:55.00,0:04:58.00,Default,,0000,0000,0000,,30 percent of transactions in Starbucks on any one day
Dialogue: 0,0:04:58.00,0:05:01.00,Default,,0000,0000,0000,,are actually being made with Starbucks star points.
Dialogue: 0,0:05:01.00,0:05:02.00,Default,,0000,0000,0000,,So that's a sort of Starbucks currency
Dialogue: 0,0:05:02.00,0:05:04.00,Default,,0000,0000,0000,,staying within its ecosystem.
Dialogue: 0,0:05:04.00,0:05:07.00,Default,,0000,0000,0000,,And what I find interesting is that Amazon
Dialogue: 0,0:05:07.00,0:05:10.00,Default,,0000,0000,0000,,has recently launched Amazon coins.
Dialogue: 0,0:05:10.00,0:05:13.00,Default,,0000,0000,0000,,So admittedly it's a currency at the moment that's purely for the Kindle.
Dialogue: 0,0:05:13.00,0:05:16.00,Default,,0000,0000,0000,,So you can buy apps and make purchases within those apps,
Dialogue: 0,0:05:16.00,0:05:18.00,Default,,0000,0000,0000,,but you think about Amazon,
Dialogue: 0,0:05:18.00,0:05:20.00,Default,,0000,0000,0000,,you look at the trust barometer that I showed you
Dialogue: 0,0:05:20.00,0:05:23.00,Default,,0000,0000,0000,,where people are starting to trust businesses,
Dialogue: 0,0:05:23.00,0:05:25.00,Default,,0000,0000,0000,,especially businesses that they believe in and trust
Dialogue: 0,0:05:25.00,0:05:27.00,Default,,0000,0000,0000,,more than governments.
Dialogue: 0,0:05:27.00,0:05:29.00,Default,,0000,0000,0000,,So suddenly, you start thinking,
Dialogue: 0,0:05:29.00,0:05:30.00,Default,,0000,0000,0000,,well Amazon potentially could push this.
Dialogue: 0,0:05:30.00,0:05:32.00,Default,,0000,0000,0000,,It could become a natural extension,
Dialogue: 0,0:05:32.00,0:05:33.00,Default,,0000,0000,0000,,that as well as buying stuff --
Dialogue: 0,0:05:33.00,0:05:36.00,Default,,0000,0000,0000,,take it out of the Kindle -- you could buy books, music,
Dialogue: 0,0:05:36.00,0:05:41.00,Default,,0000,0000,0000,,real-life products, appliances and goods and so on.
Dialogue: 0,0:05:41.00,0:05:43.00,Default,,0000,0000,0000,,And suddenly you're getting Amazon, as a brand,
Dialogue: 0,0:05:43.00,0:05:45.00,Default,,0000,0000,0000,,is going head to head with the Federal Reserve
Dialogue: 0,0:05:45.00,0:05:47.00,Default,,0000,0000,0000,,in terms of how you want to spend your money,
Dialogue: 0,0:05:47.00,0:05:49.00,Default,,0000,0000,0000,,what money is, what constitutes money.
Dialogue: 0,0:05:49.00,0:05:53.00,Default,,0000,0000,0000,,And I'll get you back to Tide, the detergent now,
Dialogue: 0,0:05:53.00,0:05:54.00,Default,,0000,0000,0000,,as I promised.
Dialogue: 0,0:05:54.00,0:05:57.00,Default,,0000,0000,0000,,This is a fantastic article I came across in New York Magazine,
Dialogue: 0,0:05:57.00,0:06:00.00,Default,,0000,0000,0000,,where it was saying that drug users across America
Dialogue: 0,0:06:00.00,0:06:02.00,Default,,0000,0000,0000,,are actually purchasing drugs
Dialogue: 0,0:06:02.00,0:06:04.00,Default,,0000,0000,0000,,with bottles of Tide detergent.
Dialogue: 0,0:06:04.00,0:06:06.00,Default,,0000,0000,0000,,So they're going into convenience stores,
Dialogue: 0,0:06:06.00,0:06:08.00,Default,,0000,0000,0000,,stealing Tide,
Dialogue: 0,0:06:08.00,0:06:10.00,Default,,0000,0000,0000,,and a 20 dollar bottle of Tide
Dialogue: 0,0:06:10.00,0:06:15.00,Default,,0000,0000,0000,,is equal to 10 dollars of crack cocaine or weed.
Dialogue: 0,0:06:15.00,0:06:17.00,Default,,0000,0000,0000,,And what they're saying, so some criminologists
Dialogue: 0,0:06:17.00,0:06:18.00,Default,,0000,0000,0000,,have looked at this and they're saying, well, okay,
Dialogue: 0,0:06:18.00,0:06:21.00,Default,,0000,0000,0000,,Tide as a product sells at a premium.
Dialogue: 0,0:06:21.00,0:06:23.00,Default,,0000,0000,0000,,It's 50 percent above the category average.
Dialogue: 0,0:06:23.00,0:06:27.00,Default,,0000,0000,0000,,It's infused with a very complex cocktail of chemicals,
Dialogue: 0,0:06:27.00,0:06:29.00,Default,,0000,0000,0000,,so it smells very luxurious and very distinctive,
Dialogue: 0,0:06:29.00,0:06:31.00,Default,,0000,0000,0000,,and, being a Procter and Gamble brand,
Dialogue: 0,0:06:31.00,0:06:35.00,Default,,0000,0000,0000,,it's been supported by a lot of mass media advertising.
Dialogue: 0,0:06:35.00,0:06:37.00,Default,,0000,0000,0000,,So what they're saying is that drug users are consumers too,
Dialogue: 0,0:06:37.00,0:06:39.00,Default,,0000,0000,0000,,so they have this in their neural pathways.
Dialogue: 0,0:06:39.00,0:06:41.00,Default,,0000,0000,0000,,When they spot Tide, there's a shortcut.
Dialogue: 0,0:06:41.00,0:06:44.00,Default,,0000,0000,0000,,They say, that is trust. I trust that. That's quality.
Dialogue: 0,0:06:44.00,0:06:47.00,Default,,0000,0000,0000,,So it becomes this unit of currency,
Dialogue: 0,0:06:47.00,0:06:49.00,Default,,0000,0000,0000,,which the New York Magazine described
Dialogue: 0,0:06:49.00,0:06:52.00,Default,,0000,0000,0000,,as a very oddly loyal crime wave, brand-loyal crime wave,
Dialogue: 0,0:06:52.00,0:06:55.00,Default,,0000,0000,0000,,and criminals are actually calling Tide "liquid gold."
Dialogue: 0,0:06:55.00,0:06:57.00,Default,,0000,0000,0000,,Now, what I thought was funny was the reaction
Dialogue: 0,0:06:57.00,0:06:59.00,Default,,0000,0000,0000,,from the P&G spokesperson.
Dialogue: 0,0:06:59.00,0:07:01.00,Default,,0000,0000,0000,,They said, obviously tried to dissociate themselves from drugs,
Dialogue: 0,0:07:01.00,0:07:04.00,Default,,0000,0000,0000,,but said, "It reminds me of one thing
Dialogue: 0,0:07:04.00,0:07:08.00,Default,,0000,0000,0000,,and that's the value of the brand has stayed consistent." (Laughter)
Dialogue: 0,0:07:08.00,0:07:10.00,Default,,0000,0000,0000,,Which backs up my point and shows he didn't even
Dialogue: 0,0:07:10.00,0:07:12.00,Default,,0000,0000,0000,,break a sweat when he said that.
Dialogue: 0,0:07:12.00,0:07:15.00,Default,,0000,0000,0000,,So that brings me back to the connection with sweat.
Dialogue: 0,0:07:15.00,0:07:17.00,Default,,0000,0000,0000,,In Mexico, Nike have a run a campaign recently
Dialogue: 0,0:07:17.00,0:07:19.00,Default,,0000,0000,0000,,called, literally, Bid Your Sweat.
Dialogue: 0,0:07:19.00,0:07:20.00,Default,,0000,0000,0000,,So you think about,
Dialogue: 0,0:07:20.00,0:07:22.00,Default,,0000,0000,0000,,these Nike shoes have got sensors in them,
Dialogue: 0,0:07:22.00,0:07:23.00,Default,,0000,0000,0000,,or you're using a Nike FuelBand
Dialogue: 0,0:07:23.00,0:07:26.00,Default,,0000,0000,0000,,that basically tracks your movement, your energy,
Dialogue: 0,0:07:26.00,0:07:28.00,Default,,0000,0000,0000,,your calorie consumption.
Dialogue: 0,0:07:28.00,0:07:30.00,Default,,0000,0000,0000,,And what's happening here, this is where you've actually
Dialogue: 0,0:07:30.00,0:07:33.00,Default,,0000,0000,0000,,elected to join that Nike community. You've bought into it.
Dialogue: 0,0:07:33.00,0:07:35.00,Default,,0000,0000,0000,,They're not advertising loud messages at you,
Dialogue: 0,0:07:35.00,0:07:37.00,Default,,0000,0000,0000,,and that's where advertising has started to shift now
Dialogue: 0,0:07:37.00,0:07:40.00,Default,,0000,0000,0000,,is into things like services, tools and applications.
Dialogue: 0,0:07:40.00,0:07:43.00,Default,,0000,0000,0000,,So Nike is literally acting as a well-being partner,
Dialogue: 0,0:07:43.00,0:07:46.00,Default,,0000,0000,0000,,a health and fitness partner and service provider.
Dialogue: 0,0:07:46.00,0:07:48.00,Default,,0000,0000,0000,,So what happens with this is they're saying, "Right,
Dialogue: 0,0:07:48.00,0:07:50.00,Default,,0000,0000,0000,,you have a data dashboard. We know how far you've run,
Dialogue: 0,0:07:50.00,0:07:53.00,Default,,0000,0000,0000,,how far you've moved, what your calorie intake, all that sort of stuff.
Dialogue: 0,0:07:53.00,0:07:56.00,Default,,0000,0000,0000,,What you can do is, the more you run, the more points you get,
Dialogue: 0,0:07:56.00,0:07:59.00,Default,,0000,0000,0000,,and we have an auction where you can buy Nike stuff
Dialogue: 0,0:07:59.00,0:08:03.00,Default,,0000,0000,0000,,but only by proving that you've actually used the product to do stuff."
Dialogue: 0,0:08:03.00,0:08:05.00,Default,,0000,0000,0000,,And you can't come into this. This is purely
Dialogue: 0,0:08:05.00,0:08:07.00,Default,,0000,0000,0000,,for the community that are sweating
Dialogue: 0,0:08:07.00,0:08:09.00,Default,,0000,0000,0000,,using Nike products. You can't buy stuff with pesos.
Dialogue: 0,0:08:09.00,0:08:14.00,Default,,0000,0000,0000,,This is literally a closed environment, a closed auction space.
Dialogue: 0,0:08:14.00,0:08:18.00,Default,,0000,0000,0000,,In Africa, you know, airtime has become
Dialogue: 0,0:08:18.00,0:08:20.00,Default,,0000,0000,0000,,literally a currency in its own right.
Dialogue: 0,0:08:20.00,0:08:22.00,Default,,0000,0000,0000,,People are used to, because mobile is king,
Dialogue: 0,0:08:22.00,0:08:25.00,Default,,0000,0000,0000,,they're very, very used to transferring money,
Dialogue: 0,0:08:25.00,0:08:27.00,Default,,0000,0000,0000,,making payments via mobile.
Dialogue: 0,0:08:27.00,0:08:29.00,Default,,0000,0000,0000,,And one of my favorite examples from a brand perspective
Dialogue: 0,0:08:29.00,0:08:31.00,Default,,0000,0000,0000,,going on is Vodafone, where, in Egypt,
Dialogue: 0,0:08:31.00,0:08:34.00,Default,,0000,0000,0000,,lots of people make purchases in markets
Dialogue: 0,0:08:34.00,0:08:36.00,Default,,0000,0000,0000,,and very small independent stores.
Dialogue: 0,0:08:36.00,0:08:38.00,Default,,0000,0000,0000,,Loose change, small change is a real problem,
Dialogue: 0,0:08:38.00,0:08:40.00,Default,,0000,0000,0000,,and what tends to happen is you buy a bunch of stuff,
Dialogue: 0,0:08:40.00,0:08:41.00,Default,,0000,0000,0000,,you're due, say,
Dialogue: 0,0:08:41.00,0:08:44.00,Default,,0000,0000,0000,,10 cents, 20 cents in change.
Dialogue: 0,0:08:44.00,0:08:46.00,Default,,0000,0000,0000,,The shopkeepers tend to give you things like an onion
Dialogue: 0,0:08:46.00,0:08:48.00,Default,,0000,0000,0000,,or an aspirin, or a piece of gum,
Dialogue: 0,0:08:48.00,0:08:50.00,Default,,0000,0000,0000,,because they don't have small change.
Dialogue: 0,0:08:50.00,0:08:52.00,Default,,0000,0000,0000,,So when Vodafone came in and saw this problem,
Dialogue: 0,0:08:52.00,0:08:53.00,Default,,0000,0000,0000,,this consumer pain point, they created
Dialogue: 0,0:08:53.00,0:08:55.00,Default,,0000,0000,0000,,some small change which they call Fakka,
Dialogue: 0,0:08:55.00,0:08:57.00,Default,,0000,0000,0000,,which literally sits and is given
Dialogue: 0,0:08:57.00,0:08:59.00,Default,,0000,0000,0000,,by the shopkeepers to people,
Dialogue: 0,0:08:59.00,0:09:02.00,Default,,0000,0000,0000,,and it's credit that goes straight onto their mobile phone.
Dialogue: 0,0:09:02.00,0:09:04.00,Default,,0000,0000,0000,,So this currency becomes credit, which again,
Dialogue: 0,0:09:04.00,0:09:06.00,Default,,0000,0000,0000,,is really, really interesting.
Dialogue: 0,0:09:06.00,0:09:08.00,Default,,0000,0000,0000,,And we did a survey that backs up the fact that,
Dialogue: 0,0:09:08.00,0:09:10.00,Default,,0000,0000,0000,,you know, 45 percent of people
Dialogue: 0,0:09:10.00,0:09:13.00,Default,,0000,0000,0000,,in this very crucial demographic in the U.S.
Dialogue: 0,0:09:13.00,0:09:15.00,Default,,0000,0000,0000,,were saying that they're comfortable using
Dialogue: 0,0:09:15.00,0:09:18.00,Default,,0000,0000,0000,,an independent or branded currency.
Dialogue: 0,0:09:18.00,0:09:19.00,Default,,0000,0000,0000,,So that's getting really interesting here,
Dialogue: 0,0:09:19.00,0:09:22.00,Default,,0000,0000,0000,,a really interesting dynamic going on.
Dialogue: 0,0:09:22.00,0:09:23.00,Default,,0000,0000,0000,,And you think, corporations
Dialogue: 0,0:09:23.00,0:09:26.00,Default,,0000,0000,0000,,should start taking their assets and thinking of them
Dialogue: 0,0:09:26.00,0:09:28.00,Default,,0000,0000,0000,,in a different way and sort of trading them.
Dialogue: 0,0:09:28.00,0:09:31.00,Default,,0000,0000,0000,,And you think, is it much of a leap?
Dialogue: 0,0:09:31.00,0:09:34.00,Default,,0000,0000,0000,,It seems farfetched, but when you think about it,
Dialogue: 0,0:09:34.00,0:09:37.00,Default,,0000,0000,0000,,in America in 1860,
Dialogue: 0,0:09:37.00,0:09:41.00,Default,,0000,0000,0000,,there were 1,600 corporations issuing banknotes.
Dialogue: 0,0:09:41.00,0:09:44.00,Default,,0000,0000,0000,,There were 8,000 kinds of notes in America.
Dialogue: 0,0:09:44.00,0:09:45.00,Default,,0000,0000,0000,,And the only thing that stopped that,
Dialogue: 0,0:09:45.00,0:09:48.00,Default,,0000,0000,0000,,the government controlled four percent of the supply,
Dialogue: 0,0:09:48.00,0:09:49.00,Default,,0000,0000,0000,,and the only thing that stopped it
Dialogue: 0,0:09:49.00,0:09:51.00,Default,,0000,0000,0000,,was the Civil War breaking out,
Dialogue: 0,0:09:51.00,0:09:54.00,Default,,0000,0000,0000,,and the government suddenly wanted to take control of the money.
Dialogue: 0,0:09:54.00,0:09:58.00,Default,,0000,0000,0000,,So government, money, war, nothing changes there, then.
Dialogue: 0,0:09:58.00,0:10:01.00,Default,,0000,0000,0000,,So what I'm going to ask is, basically,
Dialogue: 0,0:10:01.00,0:10:03.00,Default,,0000,0000,0000,,is history repeating itself?
Dialogue: 0,0:10:03.00,0:10:07.00,Default,,0000,0000,0000,,Is technology making paper money feel outmoded?
Dialogue: 0,0:10:07.00,0:10:09.00,Default,,0000,0000,0000,,Are we decoupling money from the government?
Dialogue: 0,0:10:09.00,0:10:12.00,Default,,0000,0000,0000,,You know, you think about, brands are starting to fill the gaps.
Dialogue: 0,0:10:12.00,0:10:16.00,Default,,0000,0000,0000,,Corporations are filling gaps that governments can't afford to fill.
Dialogue: 0,0:10:16.00,0:10:18.00,Default,,0000,0000,0000,,So I think, you know, will we be standing on stage
Dialogue: 0,0:10:18.00,0:10:22.00,Default,,0000,0000,0000,,buying a coffee -- organic, fair trade coffee -- next year
Dialogue: 0,0:10:22.00,0:10:25.00,Default,,0000,0000,0000,,using TED florins or TED shillings?
Dialogue: 0,0:10:25.00,0:10:27.00,Default,,0000,0000,0000,,Thank you very much.
Dialogue: 0,0:10:27.00,0:10:29.00,Default,,0000,0000,0000,,(Applause)
Dialogue: 0,0:10:29.00,0:10:34.00,Default,,0000,0000,0000,,Thank you. (Applause)